The failure of Lehman Brothers is seen as the last straw that broke the credit market. The financial markets have been in a state of complete disarray ever since the U.S. Government allowed Lehman Brothers to file for bankruptcy on September 15th 2008 instead of intervening to save it, as it did with Bear Sterns […]
Economy In Recession: The Cost Of Allowing Lehman Brothers to Fail Read More 👉
Carbon Sciences, Inc. has developed an innovative technology to convert carbon dioxide (CO2) – which is implicated in the issue of global warming – into a number of commercially useful, earth-friendly carbon products. The company calls this technology advance: GreenCarbon Technology. The aim is to extract value from carbon emissions by transforming the gas into a product that holds commercial value.
Supply Side Economics: Transforming Carbon Emissions Into Useful Products Read More 👉
If you do not want to waste precious moments searching the internet for the top stories in business and finance, or if you have found an ideal economics news story that you would highly recommend to other readers, then Tip’d might quickly become your business social destination everyday.
Tip’d: Your One Stop Destination For Business and Finance News Read More 👉
Whether the global credit crunch will actually help or hurt the search for solutions to climate change is becoming a debatable issue.
Currently, the issue of climate change appears to be on the back burner as governments are focused on the financial problems that have shaken the global economy. It could be several months before politicians return to focusing their attention on long term problems like global warming.
Does The Credit Crunch Help Or Hurt The Issue of Climate Change? Read More 👉
The green economy shows signs of rebounding faster than others shaken by the global financial turmoil. There are several indicators pointing to the fact.
Green Economy Will Rebound Faster From Financial Turmoil Read More 👉
While we all know that there is no free lunch, reality is that very soon there might be no free water either. As both an industrial input and a prerequisite of life, water has become extremely scarce for roughly a billion people who do not have a constant supply of clean and safe water, so the issue is of extreme importance.
On September 30th, The Economist started a two-week long Oxford-style online debate on the value of water.
The proposition: “This house believes that water, as a scarce resource, should be priced according to its market value.”
What Is the The Value of Water: An Online Debate By The Economist Read More 👉
Everyone is petrified of losing money in this crazy whirlwind of stock market yo-yo-ing lately. The fall of Lehman brothers has offset a downward spiral not just for financial stocks, but for stocks in general. The Dow Jones dropped 777 points today, creating a historical record.
Is Your Money Safe Where It Is? What About Green Stocks? Read More 👉
It’s official, according to the New York Times, the bailout proposition has been rejected by the House of Representatives. The Dow Jones just plunged more than 400 points and America is standing up for itself as the bastion of free market economics!
According to the New York Times, “supporters of the bailout proposal had argued that it was necessary to avoid a collapse of the economic system, a calamity that would drag down not just Wall Street investment houses but possibly the savings and portfolios of millions of Americans. Opponents said the bill was cobbled together in too much haste and might amount to throwing good money from taxpayers after bad investments from Wall Street gamblers.”
Bailout Rejected: Will Free Market Economics Sustain Us After All? Read More 👉
As the government begins to unleash a highly criticized bailout plan for Wall Street’s toxic mortgage backed assets, it is worth taking a step back to understand how the problem actually arose.
Investing In Real Estate
It all started with real estate investing which involves the purchase, ownership and sale of real estate for profit. Real estate is an asset form with limited liquidity relative to other investments, it is also capital intensive (although capital may be gained through mortgage leverage) and is highly cash flow dependent. The primary cause of investment failure for real estate is that the investor goes into negative cash flow for a period of time that is not sustainable, often forcing them to resell the property at a loss or go into insolvency.
From Mortgage to Bailout: How Did The Problem Arise? Read More 👉
Mitsubishi UFJ Financial Group Inc., Japan’s largest bank, will inject 900 billion yen ($8.4 billion) into Morgan Stanley to help it transition to a bank holding company. Goldman Sach’s strategy is slightly different albeit with the same ultimate objective i.e. to become a commercial bank. According to Bloomberg, Goldman already has in excess of $20 billion in customer deposits in two subsidiaries and is creating a new one, GS Bank USA, that will have more than $150 billion of assets, making it one of the 10 largest banks in the U.S.
Death of Wall Street, Rise of Main Street Read More 👉
In view of the current Wall Street crisis, America’s credibility as a bastion of free markets has come under the radar. The Fed’s recent bailout of AIG, Fannie and Freddie are perceived by many as a free market detour.
The government’s latest bailout news involves a plan to make the biggest intervention in the financial markets since the 1930s. Central to this plan would be a mechanism to bad assets off the balance sheets of financial companies or instead perhaps to create a federal insurance for investors in the money market funds. Additionally, the Securities and Exchange Commission is getting ready to propose a temporary ban on short selling financial stocks.
To Bailout or Not to Bailout: Is Free Market Economics Sustainable? Read More 👉
In view of the current financial crisis, it is hard to grasp the fact that overnight investment banks once regarded the kings of Wall Street, are teetering on the edge of stability. The bankruptcy of Lehman Brothers has threatened the survival of Morgan Stanley in spite of the fact that it has just declared great earnings. All eyes are on Morgan and Goldman Sachs, the two big I-banks left standing. Will they go next? What will this mean for corporate social responsibility in the investment banking sector?
Financial Crisis: What Will The Collapse of Investment Banking Mean For CSR? Read More 👉
